U.S. new home sales rose in August after two consecutive months of decline, but the underlying trend still points to weakness in the housing market amid rising mortgage rates and higher home prices.
The U.S. Department of Commerce said new home sales rose by about 3.5% on a seasonally adjusted annualized basis to 629,000 units last month, compared with expectations of about 630,000 units.
Sales for July were revised downward to 608,000 units from the previous reading of about 627,000. The median price of a new home rose by about 1.9% to $320,200 in August compared to the same period last year.
